A New Product That Will Sell for $75

question 28

Multiple Choice

A new product that will sell for $75.00 has variable costs of $38.00 per unit.Fixed costs of $75,000 must be incurred every year to manufacture this product.What is the annual volume to break even?

• A)fewer than 1500 units.
• B)1500 to 1749 units.
• C)1750 to 1999 units.
• D)2000 units or more.

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Definitions:

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